US stocks closed slightly higher after the decision. The S&P 500 gained 0.28 percent, the Dow Jones Industrial Average rose 0.19 percent and the Nasdaq Composite added 0.27 percent.
Kevin Warsh, the Fed chair, said officials had affirmed their readiness to act in line with how circumstances develop. Luis Alvarado of the Wells Fargo Investment Institute said the Fed appeared comfortable being patient for now, because financial conditions were developing in line with expectations.
A new meeting calendar
The bigger change, according to Ian Lyngen of BMO Capital Markets, lay in the forward calendar rather than in the rate itself. The FOMC plans to vote on rates at seven of its eight scheduled meetings next year.
Tony Miano of the Wells Fargo Investment Institute said the schedule fit Warsh’s push to reduce forward guidance and the frequency of signals to markets.
Markets look past the hold
Market participants still expect a rate hike in December. They have begun to pull back expectations of further increases in 2027. Oil prices, which had risen earlier, eased after The Wall Street Journal reported that US Vice President JD Vance had contacted a hardline Iranian figure to revive peace talks.
Oracle rose 11 percent after projecting long-term free cash flow. Alphabet fell on disappointing results.
Related: China holds benchmark lending rates steady on Sunday
Source: Federal Reserve
